Franziska Mager is senior researcher and advocacy lead for climate and inequalities at the Tax Justice Network.
As the climate crisis accelerates, global fault lines widen. Wealthy nations gut aid budgets while pouring fortunes into their militaries. Their climate finance commitments ring hollow, hidden behind claims that public funds have run dry.
But the money is there – and a bold tax justice agenda can unlock it. Reclaiming tax sovereignty – the power to decide how wealth is taxed and where it goes – can shift resources from billionaires and corporate giants to real climate solutions.
Tax Justice Network analysis shows governments could raise an extra US$2.6 trillion a year by applying a modest wealth tax on the richest 0.5% and ending corporate tax abuse. This would more than cover global climate finance needs and still leave most countries with billions to invest in care, education and green jobs at home.
Coalition set sights on taxing luxury air travel to fund climate action
The climate crisis is accelerating. Floods, heatwaves and crop failures are pushing more people into precarity. Climate adaptation, mitigation, and loss and damage could cost US$9 trillion a year by 2030. Yet the global community is still scrambling to honour a US$100 billion pledge made over 15 years ago.
As attention turns from the Bonn climate talks to the fourth Financing for Development conference in Seville, climate finance remains a structural void that policy declarations alone cannot fill.
On the road to COP30 in Belém, governments face a critical choice: keep chasing inadequate voluntary climate finance handouts, or finally confront the rigged tax systems that let the super-rich and big polluters amass obscene wealth while the planet burns.
Plugging leaky tax systems
As our research shows, fair taxes on extreme wealth and curbing multinational tax abuse could raise more than double the UN’s US$1.3 trillion annual climate finance goal for 2035. The real issue isn’t where new money comes from, but why governments let public resources leak through a broken tax system.
Applying a modest annual wealth tax of 1.7-3.5% and reclaiming tax from multinationals that underpay could unlock revenue equal to 2.4% of global GDP. This money could be raised today if governments closed loopholes and took action.
Our modelling based on countries’ historic emissions responsibility shows striking results: with a US$300 billion global climate finance fund, 89% of countries could cover their share and still have billions left for public services. Even with a US$1.5 trillion fund, 58% would contribute their fair share and have money to spare.
Take the United States. It could raise enough additional revenue to contribute US$365 billion a year towards climate finance and still be left with US$412 billion to spend at home. China, India, the United Kingdom and Brazil follow the same pattern.
This is the core message of our climate finance slider tool. Taxing extreme wealth and curbing tax abuse does not pit climate justice against development. It enables both. The interactive tool shows how much countries could raise and how much they could contribute if tax rules were rebalanced in favour of people and planet.
Governments lose tax control
So why are countries still acting like climate finance is unaffordable?
The answer lies in decades of eroded tax sovereignty. Governments have signed away their taxing rights through unfair treaties, handed out corporate tax breaks under economic coercion, and let wealth pour into secrecy jurisdictions. In doing so, they’ve stripped themselves of the power – and the will – to tax the richest and biggest polluters driving the climate crisis.
Brazil’s environment minister suggests roadmap to end fossil fuels at COP30
Today, 61% of countries have an “endangered” level of tax sovereignty or worse — meaning they are failing to collect tax revenue worth at least 5% of what they already raise, largely from their richest households and from multinational corporations that underpay tax.
Nearly a fifth of countries fall into the “negated” category, missing out on the equivalent of 15% or more of their annual tax revenue. These are not natural constraints. They are political outcomes shaped by an unequal global financial system.
Across the Global South, the consequences are especially severe. Governments face impossible tradeoffs between education and adaptation, debt service and disaster response. Climate finance cannot be separated from this wider fiscal injustice.
When forced to borrow for every disaster or rely on aid pledges, governments lose both agency and time. The race to build resilience becomes a race against the clock – one they cannot win without revenue.
Wealth taxes popular with voters
It’s time to reframe the debate. Climate finance can’t rely on broken promises or voluntary pledges. It must come from fair, redistributive tax systems that reflect both capacity to pay and responsibility for emissions.
The upcoming UN Tax Convention is a once in a generation opportunity to rebalance global tax rules. Done right, it could help countries tax their richest residents and corporations fairly, ending tax havens, profit-shifting and billionaire impunity.
Comment: A global wealth tax is needed to help fund a just green transition
But we do not need to wait for negotiations to conclude. Countries can act now by introducing wealth taxes, renegotiating exploitative tax treaties, increasing transparency and aligning fiscal policies with climate goals.
These reforms are not only possible. They are popular. Polling consistently shows widespread support for taxing extreme wealth to fund public goods.
Extreme wealth fuels climate inaction, rising debt and inequality. In a world on fire, refusing to tax those who profit most is no longer neutral – it’s a global risk.
The post There is no climate finance gap – only a tax sovereignty gap appeared first on Climate Home News.
There is no climate finance gap – only a tax sovereignty gap
Climate Change
New summit in Colombia seeks to revive stalled UN talks on fossil fuel transition
A landmark conference hosted by Colombia and the Netherlands will aim to lay the foundations for renewed talks on transitioning away from fossil fuels at COP31, though organisers say it remains unclear what concrete outcomes it will deliver.
The First Conference on the Transition Away from Fossil Fuels will take place in April in the city of Santa Marta, on Colombia’s Caribbean coast, where first-moving countries, states and cities will seek to restart last year’s stalled push for a global roadmap away from coal, oil and gas.
Bastiaan Hassing, head of international climate policy for the Dutch government, told an online briefing last week that the “most obvious” impact of the conference would be for its hosts to report back to the UN climate summit on what was agreed in Santa Marta.
“Ideally, but this is also more complicated, we discuss with each other (at COP) what next steps we could take in the implementation, for instance, of paragraph 28 of the COP decision in Dubai, which talks about the global transition away from fossil fuels,” Hassings said.
He noted that there are many options for how the conference can influence UN talks on implementing the global transition away from fossil fuels, but the exact possibilities would depend on the outcome of the talks. “Rest assured that we will be looking into this,” he added.
At last year’s COP30, a bloc of 80 countries, including small island states, as well as some Latin American, European, and African countries, called for the creation of a roadmap to transition away from fossil fuels.
But major oil and gas producers and consumers blocked the initiative in Belém. As a compromise, Brazil’s COP presidency promised to draft proposals for two voluntary roadmaps: one to end deforestation and another to guide the transition away from fossil fuels.
Brazil has launched consultations seeking input for those plans, asking governments and stakeholders about technological and economic barriers, climate justice considerations and examples of best practice. Last week, COP30 president André Corrêa do Lago told Brazilian media that he would hold discussions on his roadmap proposal at the Santa Marta conference.
Colombia’s environment minister Irene Vélez Torres told reporters last week that “this is the moment to be honest about the challenges involved in transitioning away from fossil fuels”.
“It is not easy. It involves commitments from both the Global North and South. It involves interests and tensions at the subnational level,” she added. “Yet none of this diminishes its urgency or the need to reach agreements at the international multilateral level”.
Process to end fossil fuels
Vélez Torres said she hoped the Santa Marta meeting would help establish an ongoing process to advance discussions that often stall in the formal UN negotiations, where decisions are made by consensus and fossil fuel producers resist stronger language.
“This is the first conference, and we want it to be followed by another. We also want to establish a technical secretariat to sustain these debates,” said Vélez Torres, who added that the initiative would be “articulated with [the] COP30 and COP31” presidencies.
Colombia has been one of the few fossil fuel-producing countries that pledged to halt all new coal, oil and gas exploration. The move triggered backlash from industry and political opponents – with former president Iván Duque calling the decision “political and economic suicide”. The South American country depends on fossil fuels for about 10% of fiscal revenues and 4% of GDP, according to the International Monetary Fund (IMF).
Organisers of the Santa Marta conference said they expect between 40 and 80 high-level representatives from governments, both at national and subnational levels. Colombian president Gustavo Petro is expected to participate, and invitations have been extended to California governor Gavin Newsom and Dutch prime minister Rob Jetten.
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No turning back
The conference comes amid renewed volatility in global energy markets. As the US and Israel’s war in Iran disrupts oil and gas supplies and threatens to cause severe global economic damage, analysts say governments should seek to reduce their dependency on fossil fuels through investments in renewables and energy efficiency.
The upcoming Santa Marta conference should build momentum to plan that transition away from fossil fuels and signal that “there is no turning back”, said Peter Newell, professor of international relations at the University of Sussex and one of the main proponents of a fossil fuel non-proliferation treaty.
“Its outcomes, which might include a declaration on key principles and next steps (for the fossil fuel transition), should give renewed vigour to efforts within the UN climate negotiations to drive the agenda forward,” Newell said.
Because major fossil fuel producers have effectively “vetoed” discussions on a fossil fuel phase-out at COPs, he added, willing countries must move forward independently with initiatives like the Santa Marta conference.
Andreas Sieber, head of political strategy at the NGO 350.org, agreed that the push away from fossil fuels is “both necessary and economically inevitable”, adding that a conference on phasing out fossil fuels would have been “unthinkable just five years ago”.
Countries moving forward
COP30 host Brazil has taken the lead in developing its own national roadmap away from fossil fuels, which President Luiz Inácio Lula da Silva requested his government to draft late last year. The roadmap is expected to be formally developed this year.
The plan – expected to include a dedicated energy transition fund – was initially due in February but has not yet been made public as ministers continue technical discussions.
In Europe, governments have also stepped up efforts to curb fossil fuel use following the energy shocks triggered by Russia’s invasion of Ukraine and the conflict in the Middle East.
Leo Roberts, a fossil fuel transition analyst at the climate think tank E3G, said the recent surge in gas prices linked to the Iran conflict reinforces the case for accelerating the transition to boost energy security and protect people from price shocks.
“Hopefully, Santa Marta is able to really demonstrate that not only is there momentum at the international sphere through the COP30 roadmap process, but there’s huge momentum away from fossil fuels in the real world,” he said.
The post New summit in Colombia seeks to revive stalled UN talks on fossil fuel transition appeared first on Climate Home News.
New summit in Colombia seeks to revive stalled UN talks on fossil fuel transition
Climate Change
The US’s critical minerals club threatens an equitable clean energy transition
Nick Dearden is the director of Global Justice Now.
The US push for nations to join a club that would coordinate the trade of critical minerals outside China signals a giant shift in Washington’s vision for how to govern the global economy But it will, unfortunately, also hinder the clean energy transition.
Critical minerals such as lithium, nickel, copper and rare earths are needed to manufacture clean energy technologies such as solar panels, wind turbines and batteries on which the transition from fossil fuels to clean energy depends.
But these minerals also have applications for a wide range of advanced technologies, not least military equipment and digital infrastructure. In recent years, AI deployment and the build out of data centres have become the primary political justification for mineral extraction.
No US official mentioned clean energy technologies as they promoted the new minerals club in Washington last month. Instead, the trading bloc aims to break China’s dominance over mineral supply chains and ensure US access to the resources it needs for digital and military sectors.
Analysis by Global Justice Now found that almost one in five of the 33 minerals that the UK identified as critical in 2024 are not needed to achieve the International Energy Agency’s decarbonisation pathways. A further 15 play only a very small role and only seven require significant production increases for the clean energy transition.
Prioritise minerals for the energy transition
The urgency of addressing climate change means we must prioritise the use of minerals to rapidly and equitably wean the global economy off coal, oil and gas while reducing resource overconsumption in the Global North. The US approach could make this prioritisation a lot harder.
For Washington, this isn’t about addressing climate change, but America’s ever deepening rivalry with China, a renewable energy superpower. In contrast, Donald Trump has called climate change “a hoax” and overseen unprecedented climate deregulation in favour of fossil fuels.
The minerals trading bloc risks diverting mineral resources towards carbon-intensive military and technology build-up in the US, which is directly at odds with the need to use these resources to manufacture clean energy technologies.
What’s more, for the green transition to be just, fair and equitable, resource-rich governments must be able to refine and add value to their resources, creating jobs and economic development in the process. But Trump’s trading bloc is intended to tell “partner” countries what role they should play in the global mineral supply chains to best serve US interests.
Serving US interests rather than clean energy
Countries with the smallest and least developed economies stand to lose out.
More than a dozen countries have signed bilateral deals with the Trump administration. The terms of the deals appear to get better the richer a country is.
At the poorer end is the deal with DRC – an outright piece of imperialism with one-sided obligations that override the country’s mineral sovereignty by giving the US first dibs on a range of strategic mining sites and the energy needed to power these sites.
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In the middle, Malaysia committed to facilitate American involvement in its mineral sector and refrain from banning or imposing quotas on exports of raw minerals to the US. This risks restricting the development of Malaysia’s refining capacities, making value addition harder.
At the top end is the UK, which has signed a deal that includes a commitment to streamline mineral permitting, but appears more focused on facilitating financial services to members of the trading bloc.
Wherever countries sit in the pecking order, the agreements signed with the US limit governments’ strategic sovereignty over their resources and stifle their ability to create a more sustainable economy which meets people’s needs.
Tools for a way forward
There is some hope, however. Trump’s mineral trading bloc would operate with profoundly different rules than the neoliberal trade deals, which we have become used to.
Some of its components – like price floors and state ownership – have not been seen in trade deals for a long time. In the right hands, these tools could help governments plan, coordinate and prioritise a globally just green transition and break away from the ‘market knows best’ logic which has long locked poorer countries into low-value exports of raw materials.
If governments work together, outside the coercive US trade bloc, to adopt some of these tools and policies, they might be able to draw local benefits from their mineral wealth and build a genuinely fair and equitable trade in transition minerals.
The post The US’s critical minerals club threatens an equitable clean energy transition appeared first on Climate Home News.
The US’s critical minerals club threatens an equitable clean energy transition
Climate Change
Greenpeace urges governments to defend international law, as evidence suggests breaches by deep sea mining contractors
SYDNEY/FIJI, Monday 9 March 2026 — As the International Seabed Authority (ISA) opens its 31st Session today, Greenpeace International is calling on member states to take firm and swift action if breaches by subsidiaries and subcontractors of The Metals Company (TMC) are established. Evidence compiled and submitted to the ISA’s Secretary General suggests that violations of exploration contracts may have occurred.
Louisa Casson, Campaigner, Greenpeace International, said: “In July, governments at the ISA sent a clear message: rogue companies trying to sidestep international law will face consequences. Turning that promise into action at this meeting is far more important than rushing through a Mining Code designed to appease corporate interests rather than protect the common good. As delegations from around the world gather today, they must unite and confront the US and TMC’s neo-colonial resource grab and make clear that deep sea mining is a reckless gamble humanity cannot afford.”
The ISA launched an inquiry at its last Council meeting in July 2025, in response to TMC USA seeking unilateral deep sea mining licences from the Trump administration. If the US administration unilaterally allows mining of the international seabed, it would be considered in violation of international law.
Greenpeace International has compiled and submitted evidence to the ISA Secretary-General, Leticia Carvalho, to support the ongoing inquiry into deep sea mining contractors. This evidence shows that those supporting these unprecedented rogue efforts to start deep sea mining unilaterally via President Trump could be in breach of their obligations with the ISA.
The analysis focuses on TMC’s subsidiaries — Nauru Ocean Resources Inc (NORI) and Tonga Offshore Mining Ltd (TOML) — as well as Blue Minerals Jamaica (BMJ), a company linked to Dutch-Swiss offshore engineering firm Allseas, one of TMC’s subcontractors and largest shareholders. The information compiled indicates that their activities may violate core contractual obligations under the United Nations Convention on the Law of the Sea (UNCLOS). If these breaches are confirmed, NORI and TOML’s exploration contracts, which expire in July 2026 and January 2027 respectively, the ISA should take action, including considering not renewing the contract.
Letícia Carvalho has recently publicly advocated for governments to finalise a streamlined deep sea mining code this year and has expressed her own concerns with the calls from 40 governments for a moratorium. At a time when rogue actors are attempting to bypass or weaken the international system, establishing rules and regulations that will allow mining to start could mean falling into the trap of international bullies. A Mining Code would legitimise and drive investment into a flagging industry, supporting rogue actor companies like TMC and weakening deterrence against unilateral mining outside the ISA framework.
Casson added: “Rushing to finalise a Mining Code serves the interests of multinational corporations, not the principles of multilateralism. With what we know now, rules to mine the deep sea cannot coexist with ocean protection. Governments are legally obliged to only authorise deep sea mining if it can demonstrably benefit humanity – and that is non-negotiable. As the long list of scientific, environmental and social concerns with this industry keeps growing, what is needed is a clear political signal that the world will not be intimidated into rushing a mining code by unilateral threats and will instead keep moving towards a moratorium on deep sea mining.”
—ENDS—
Key findings from the full briefing:
- Following TMC USA’s application to mine the international seabed unilaterally, NORI and TOML have amended their agreements to provide payments to Nauru and Tonga, respectively, if US-authorised commercial mining goes ahead. This sets up their participation in a financial mechanism predicated on mining in contradiction to UNCLOS.
- NORI and TOML have signed intercompany intellectual property and data-sharing agreements with TMC USA, and the data obtained by NORI and TOML under the ISA exploration contracts has been key to facilitating TMC USA’s application under US national regulations.
- Just a few individuals hold key decision-making roles across the TMC and all relevant subsidiaries, making claims of independent management ungrounded. NORI, TOML, and TMC USA, while legally distinct, are managed as an integrated corporate group with a single, coordinated strategy under the direct control and strategic direction of TMC.
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